Bitcoin once plummeted 10%, global risk aversion impacts the cryptocurrency market

News on August 5, the global risk-averse sentiment is heating up, putting pressure on Bitcoin. This largest digital asset has previously set the biggest single-week decline since the collapse of FTX exchange in 2022. Earlier, Bitcoin once fell more than 10%, and then narrowed its decline. In addition, smaller tokens such as Ethereum and Dogecoin also plummeted significantly. The global stock market's downturn reflects concerns about economic prospects, and investors are beginning to question whether heavy investments in the field of artificial intelligence will realize the eager expectations surrounding this technology. Furthermore, heightened geopolitical tensions in the Middle East have also sparked investor unease. Previously, US Bitcoin Exchange Traded Funds experienced their largest outflow of funds since about three months ago on August 2nd.